Market Chatter: Toyota Doubles Down on Hybrids as China Pushes EVs

MT Newswires Live01-07

Toyota Motor (TYO:7203) is pressing ahead with engine and hybrid development despite rapid electrification in China, betting that different markets will require different drivetrains, Nikkei reported Wednesday.

The automaker has unveiled the GR GT, a hybrid sports car due around 2027 with a four-liter V8, underscoring Chairman Akio Toyoda's view that engines still have a role alongside environmental technology, according to the report.

In the U.S., where EV uptake has slowed, Toyota plans to invest up to $10 billion to expand hybrid production, with hybrids making up about 13% of new-vehicle sales in mid-2025. Some models, including the redesigned RAV4, are now built locally, the report said.

In China, where EV competition is fierce and sales have declined for three years, Toyota is focusing on China-specific electric models developed with local partners, such as the bZ3X and upcoming bZ7, even as the multi-track strategy raises costs, according to the report.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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